After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30, 2021, unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2021) follows. Number 101 Account Title Debit Credit Cash $ 38,864 106 Accounts receivable 13,318 126 Computer supplies 2,645 128 Prepaid insurance 2,040 131 Prepaid rent 3,000 163 Office equipment 8,800 164 Accumulated depreciation-Office equipment $ 0 167 Computer equipment 21,200 168 Accumulated depreciation-Computer equipment 201 Accounts payable 210 Wages payable 236 Unearned computer services revenue 0 307 Common stock 66,000 318 Retained earnings 319 Dividends 6,000 403 Computer services revenue 35,499 612 613 Depreciation expense-Office equipment Depreciation expense-Computer equipment 623 Wages expense 2,375 637 Insurance expense 640 652 655 676 677 684 901 Rent expense Computer supplies expense Advertising expense Mileage expense Miscellaneous expenses Repairs expense-Computer Income summary Totals 1,648 614 190 805 $ 101,499 $ 101,499 Business Solutions had the following transactions and events in December 2021. December 2 Paid $980 cash to Hillside Mall for Business Solutions's share of mall advertising costs. December 3 Paid $460 cash for minor repairs to the company's computer. December 4 Received $4,050 cash from Alex's Engineering Company for the receivable from November. December 10 Paid cash to Lyn Addie for six days of work at the rate of $125 per day. December 14 Notified by Alex's Engineering Company that Business Solutions's bid of $7,100 on a proposed project has been accepted. Alex's paid a $1,700 cash advance to Business Solutions. December 15 Purchased $1,300 of computer supplies on credit from Harris Office Products. December 16 Sent a reminder to Gomez Company to pay the fee for services recorded on November 8. December 20 Completed a project for Liu Corporation and received $5,675 cash. December 22-26 Took the week off for the holidays. December 28 Received $3,200 cash from Gomez Company on its receivable. December 29 Reimbursed S. Rey for business automobile mileage (500 miles at $0.26 per mile). December 31 Paid $1,100 cash for dividends. The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months. a. The December 31 inventory count of computer supplies shows $610 still available. b. Three months have expired since the 12-month insurance premium was paid in advance. c. As of December 31, Lyn Addie has not been paid for four days of work at $125 per day. d. The computer system, acquired on October 1, is expected to have a four-year life with no salvage value. e. The office equipment, acquired on October 1, is expected to have a five-year life with no salvage value. f. Three of the four months' prepaid rent have expired. Required: 1. Prepare journal entries to record each of the December transactions. Post those entries to the accounts in the ledger. 2-a. Prepare adjusting entries to reflect a through f. 2-b. Post the journal entries to record each of the December transactions, adjusting entries to the accounts in the ledger. 3. Prepare an adjusted trial balance as of December 31, 2021. 4. Prepare an income statement for the three months ended December 31, 2021. 5. Prepare a statement of retained earnings for the three months ended December 31, 2021. 6. Prepare a classified balance sheet as of December 31, 2021. 7. Record the necessary closing entries as of December 31, 2021. 8. Prepare a post-closing trial balance as of December 31, 2021. > Answer is not complete. Complete this question by entering your answers in the tabs below. 1 120 points Current assets Cash Accounts receivable Computer supplies Prepaid insurance Prepaid rent BUSINESS SOLUTIONS Balance Sheet December 31, 2021 Assets Total assets Plant assets Accumulated depreciation-Office equipment Computer supplies Accumulated depreciation-Office equipment Total assets Accounts payable Wages payable Liabilities Unearned computer services revenue 50,069 6,068 610 1,530 750 8,800 59,027 >>> S (440) > 21,200 (21,640) (1,325) (1,325) (22,965) 36,062 $ 1,300 500 1,700